REACTIONS WERE MIXED ASabout a dozen Western Alaskans testified over the phone Tuesday about a proposed graphite mine in the Kigluaik Mountains.

Senator Donny Olson of Golovin introduced a bill last week (Feb. 19), Senate Bill 203, which would allow the Alaska Industrial Development Export Authority (AIDEA) to issue bonds to the Graphite I Resources corporation, based out of Vancouver, for preliminary assessment costs.

According to Olson, the bill would permit about 80 million dollars’ worth of bonds, which would have to be paid back. The Graphite Creek deposit is the largest known graphite source in the United States, he says, and could produce up to 60,000 metric tons of the mineral per year. The U.S. currently imports all of its graphite, which is used for things like lithium batteries, according to the U.S. Geological Survey.

Olson says it would be a boost for the local economy:

We’ve done a preliminary study that shows there’s going to be between 250 and 300 jobs that are going to go to that area, some of which are going to be more mining-oriented, and some of which are going to be more oriented toward the people that are in the local area that can go ahead and fill those positions.

Nome Mayor Richard Beneville agrees. He testified over the phone from Washington, D.C.:

Whether it’s in Brevig, or if it’s in Teller, or if it’s in Nome — the jobs are critical to our region. As mayor of Nome, I am for this. I can’t speak for everyone in Nome, but I can speak for the spirit of Nome. I can speak for the spirit of Western Alaska.

If the state wants to find 80 million dollars, why not put it toward toilets, water and sewer, for our community? We don’t need it for a road. We don’t need port infrastructure. I am not against the mine, I am not for the mine. But I am against this bill.

Many who testified were concerned about the mine infrastructure’s impact on the Imuruk Basin and its watershed. The area is home to moose, salmon streams, berries and other subsistence resources. Here’s Tanya Ablowaluk, secretary of the Native Village of Teller:

This mine will not bring jobs. This mine will not bring economic development. In my eyes, this mine will bring destruction for our land, to our food, to our culture and to our people.

Others who shared similar concerns included representatives of the Brevig Mission and Mary’s Igloo native corporations, as well as Rosie Fosdick and Brandon Ahmasuk from Kawerak. Doug Tweet, who owns the land on which the mine would be built, testified in support of the bill and the project.

Olson stresses the bill is on hold, and the mine project won’t be going anywhere, until the communities that would be affected are in support of it. And he says the construction of water, sewer and housing infrastructure as part of the project could be on the table.

I’m wholly on the side of the people that are out there that are going to be affected by this, and those are the people that I represent. And that’s why, based on a number of people that asked me to put it (the bill) in, I put it in there, but whether it goes anywhere depends on what kind of local support we do have.

Olson says Graphite I is hoping to send representatives to Western Alaska within a few weeks.

Correction: A previous version of this story erroneously stated public testimony related to the graphite mine bill was continuing on March 2nd. The error has been removed.

The location of the deposit and potential mine on the southwest Seward Peninsula. (Image: Graphite One Resources.) (Note: This image misidentifies Imuruk Basin as Grantley Harbor. Grantley Harbor is the body of water immediately east of Brevig Mission and Teller.)

Image at top: A view over the Kigluaik Mountains. (Photo: Jenn Ruckel, KNOM)

Nome, AK– The Senate Majority got a little bit bigger last week when Democrat Donny Olson announced his move from the minority. Born in Nome, Senator Olson represents all of northwest Alaska.

He said concerns about budget cuts convinced him to switch over.

“I was called by a number of constituents that were concerned about things like education, things like public safety, things like corrections, things like behavioral health and health and social services,” Olson explained.

Olson said his constituents are worried about how his region might fare as the legislature continues to whittle down the state’s budget.

He’s keeping an eye on the Power Cost Equalization, or PCE, program that helps people afford the high cost of energy in rural Alaska.

Another supporter of PCE is Senator Lyman Hoffman of Bethel, the only other democrat in the majority. Olson said he hopes adding another voice from the bush might balance things.

“Because right now it looks to people from the outside that… people that are looking out for their services and their districts either in Fairbanks or Anchorage,” Olson said, “and it just seems to be a little lop-sided.”

Olson’s departure leaves the minority in a vulnerable position. Down to just 4 democrats, the minority is now at risk of losing committee seats. According to the legislature’s rules, a member of the minority is only entitled to a seat on a committee if the group makes up at least 25 percent of the total house membership. Without Olson, the minority makes up only 20 percent of the Senate.

Minority Leader Berta Gardner says she’s disappointed to lose Olson, but recognizes his need to act in the best interest of his district.

Olson’s move to the majority allows him increase the size and salary of his staff.

]]>21006School Board Passes Resolution Against Bill That Could Close Schools Around Alaskahttp://www.knom.org/wp/blog/2015/10/16/school-board-passes-resolution-against-bill-that-could-close-schools-around-alaska/
http://www.knom.org/wp/blog/2015/10/16/school-board-passes-resolution-against-bill-that-could-close-schools-around-alaska/#commentsFri, 16 Oct 2015 17:27:16 +0000http://www.knom.org/wp/?p=19014The school board swore in new members and resolved to fight a bill that could shut down two Nome schools. ]]>http://www.knom.org/wp-audio/2015/10/2015-10-16-school-board.mp3

The school board said goodbye to retiring members and swore in new ones at their Tuesday meeting — a busy session that also saw the board discussing delayed test results and resolving to fight a bill that could close two Nome schools.

Before diving into a packed agenda, the board thanked outgoing members Betsy Brennan and Paula Davis for their years of service and welcomed newly elected members Nancy Mendenhall and Keith Conger. The revamped board then elected Barb Amarok as president, Conger as VP and clerk, and Jennifer Reader as treasurer.

That settled, the board passed a resolution calling for minimum enrollment to stay at 10 students per Alaska school. Superintendent Shawn Arnold said the resolution comes in response to a bill aimed at raising the state’s benchmark from 10 students to 25 — an increase Arnold said could shut down more than 60 schools in Alaska, including two in Nome.

“If the student enrollment [requirement] goes up to 25, we have the possibility of losing two of our own schools — Nome Youth Facility as well as Nome Extensions,” said Arnold. “In the Bering Strait region, there are also schools at risk. Those students have to go somewhere. If they lose a school, for many small communities, that might mean the death of the community. It’ll be devastating.”

While the bill is being introduced by MatSu legislators as a way to save money, Arnold said the change would only shift spending around. Whatever the potential savings may be, Mendenhall said it’s not enough to justify the damage done to small towns, where schools are central to community life.

“I know the state is in trouble financially, but I think this is an absolutely terrible way to save money,” said Mendenhall. “Many people can’t homeschool their kids, so they pack up and move out. And that’s the end of the community.”

The board emphasized the proposed change would be particularly harmful to Alaska Native students and those from rural areas. Amarok said that even though small communities would be affected, there would be a large impact.

“I added up the number of students in each of these schools that could possibly be closed down, and I think it’s 919,” said Amarok. “And that is a large number of students and large number of families that would be affected.”

The board’s resolution — which was passed unanimously — will be sent to the state legislature. Arnold said he hopes it will be one of many resolutions from school districts and organizations statewide.

At the meeting, the board also discussed state testing — namely, that the state has not released results from the Alaska Measures of Progress (AMPs), even though they were due to the district earlier this month.

The AMPs are more rigorous than previous state assessments, and the Alaska Department of Education has already told school districts that just a third of students passed the new test statewide. While Nome Public Schools are eager to see how students performed, Arnold said implementation of the test has been rushed — and the results may not be reliable just yet.

“What I told the board and staff members is not to stress and not to worry as much about these AMP results,” said Arnold. “The psychometrician — the assessment specialist from the University of Kansas, who’s designing the state test — said it’s going to be several years before it’s valuable and reliable.”

The superintendent said Nome schools will continue using other assessments to gauge student progress while the state refines the new test. Still, Arnold said he hopes to get a hold of the results in the next week so the board can discuss them at their next meeting — a work session on Oct. 27.

]]>http://www.knom.org/wp/blog/2015/10/16/school-board-passes-resolution-against-bill-that-could-close-schools-around-alaska/feed/119014Sounding Board: Legislature Goes Longhttp://www.knom.org/wp/blog/2015/04/29/sounding-board-legislature-goes-long/
http://www.knom.org/wp/blog/2015/04/29/sounding-board-legislature-goes-long/#commentsWed, 29 Apr 2015 21:37:46 +0000http://www.knom.org/wp/?p=16106As lawmakers in Juneau go into overtime, Sounding Board wants to hear your thoughts on what should be a top priority as budgets get cut and funding dries up.]]>http://www.knom.org/wp-audio/2015/04/2015-04-30-sb-legislature.mp3

This week’s episode of Sounding Board, “Legislature Goes Long,” is now over. But a huge thank you to all our listeners this morning, and to Senator Donny Olson and Representative Neal Foster for joining us amid a busy session to share insight on what’s going on in Juneau.

We’d also like to thank Betsy in Nome for sharing her thoughts on education funding, and Sue in Nome for calling in to urge Senator Olson to “hang tough” on healthcare reform. You can listen to the full show above. Join us next week, same time, same place, for another episode of Sounding Board.

The legislative session is in overtime as lawmakers wrestle with budget cuts and dipping into to the state’s savings. But even now, as they work through a special session called by Governor Bill Walker, there are plenty of loose ends to tie up as as the state grapples with a multi-billion-dollar budget gap.

That could mean cuts to education, services, and more. And it will impacts laws ranging from marijuana, sexual abuse prevention, healthcare, and more.

How should Alaska tackle its more than $3 billion budget shortfall?

What do you think should be cut? And what do you think must be preserved?

On bills that have passed this session: what’s passed that works, and what’s failed that should have made it through?

Are your elected officials representing your needs in the halls of Juneau?

We’ll be joined by lawmakers from our region, Representative Neal Foster and Senator Donny Olson, who will be joining live to hear your concerns and answer your questions.

]]>http://www.knom.org/wp/blog/2015/04/29/sounding-board-legislature-goes-long/feed/116106Nome Lays Out Juneau Priorities as Oil Prices Paint Grim Financial Picturehttp://www.knom.org/wp/blog/2014/12/05/nome-lays-out-juneau-priorities-as-oil-prices-paint-grim-financial-picture/
http://www.knom.org/wp/blog/2014/12/05/nome-lays-out-juneau-priorities-as-oil-prices-paint-grim-financial-picture/#commentsFri, 05 Dec 2014 16:57:16 +0000http://www.knom.org/wp/?p=13361The city's top priority is continuing with ongoing water and sewer upgrades, but even modest projects are uncertain in the face of a potential $3 billion deficit due to falling oil prices.]]>

The City of Nome has set its legislative priorities for the coming year, and facing a bleak financial situation in Juneau, the goals for the city, the school district, and the utility are all deliberately modest.

In a public session with state Senator Donny Olson and Representative Neal Foster last week, the city laid out its four biggest priorities for the coming year. At the top of the list is a $4.3 million request for continued water and sewer upgrades. Nome Joint Utility Manager John Handeland says he also supports growing the Power Cost Equalization program, which for nearly 30 years has helped offset the high cost of electricity in rural areas.

Though he said the bulk of money should go toward replacing Nome’s aging sewer infrastructure, Handeland said he “still support[s] the expansion of eligibility and cap of PCE. I know that’s something that’s been worked on … [and] doesn’t meet with approval from the folks in bigger communities, but nonetheless I think it’s something we should continue to advocate for.”

Emphasizing “shovel ready” projects, the city is also putting at the top of its list a $3 million series of road improvement projects in a partnering with Nome Eskimo Community. The improvements would cover M Street and L Street, as well as 3rd, 4th, 5th, and 6th Avenues.

The city is also seeking state funds—as Nome Eskimo seeks federal funds—to secure a new $600,000 pumper truck for the Nome Volunteer Fire Department. Last, the city is pushing at both the federal and state level for roughly $500,000 to extend and repair Nome’s seawall, a project they city has been seeking for the past two years.

The school district’s own list includes just over $1 million three housekeeping projects, including repaying the district for lighting replacement and the new gym floor at Nome Elementary. The bulk of that million would go toward replacing the high school’s electrical and generator system.

“This is how the electricity gets from the pole to the building. It’s 37 years old,” said School Board President Betsy Brennan, “and needs to be replaced.”

But even with the relatively modest proposals, Representative Foster and Senator Olson agreed that lawmakers face a dire funding situation in Juneau come January.

Rep. Neal Foster, left, and Sen. Donny Olson during a discussion of legislative priorities with the City Council and the public.

The price for a barrel of oil has fallen off a cliff in the last four months: from over $100 per barrel in August, to prices in the mid-$60 as of this week. More than 90 percent of state funding comes from revenues on every barrel of oil, and the precipitous price drop means hundreds of millions of dollars the state expected to be in the bank simply won’t be.

“That’s projected to create a budget deficit of [the] neighborhood of $3 billion just over the next year,” Foster said.

He said that leaves few options: trim budgets, cut projects, and reduce state services, or pursue new taxes that he said are sure to be unpopular.

“Other options, you’ve got sales taxes, income taxes. Nobody likes either of those, but those are on the table,” Foster said. “Permanent funds, you could either stop paying dividends or you could cap permanent funds. It would be very, very unpopular, but there’s quite a bit of money there. But, you know, this is just one of those things that nobody wants to touch but, five years, what are we going to be talking about then?”

Senator Olson sounded a more optimistic note. With Bill Walker and Byron Mallott in office, Olson expects a reorientation when it comes to critical issues in the bush.

“With this new governor, it’s like a breath of fresh air. We’re going to get new commissioners, new deputy commissioners, at least have that opportunity for people that are more able to listen to us, not going to be fighting against the same bureaucrats that we’ve been fighting against.”

The Nome City Council will make final decisions on the city’s priorities in Juneau at their meeting Monday, Dec. 8.

]]>http://www.knom.org/wp/blog/2014/12/05/nome-lays-out-juneau-priorities-as-oil-prices-paint-grim-financial-picture/feed/113361Foster, Olson Outline Priorities, Changes for Upcoming Legislative Sessionhttp://www.knom.org/wp/blog/2014/11/24/foster-olson-outline-priorities-changes-for-upcoming-legislative-session/
http://www.knom.org/wp/blog/2014/11/24/foster-olson-outline-priorities-changes-for-upcoming-legislative-session/#commentsMon, 24 Nov 2014 21:28:49 +0000http://www.knom.org/wp/?p=13155Foster looks to his seat on the Transportation committee and his ties to the House majority; Olson won’t be caucusing with the Senator Majority, but will keep key seat on Finance committee.]]>http://www.knom.org/wp-audio/2014/11/2014-11-24-Olson-Foster-Juneau.mp3

Lawmakers will return to Juneau in less than two months, and for the Bering Strait and Norton Sound region, Senator Donny Olson and Representative Neal Foster are setting priorities for the coming legislative session.

Representative Neal Foster, who handily won reelection earlier this month, has not been idle in the lead up to January’s session: he recently finished a visit to Puerto Rico to see uniform factories owned by Sitnasauk Native Corporation, “and then I went straight from there to Phoenix, to do an Iron Man triathlon.”

Foster will be co-chairing the House Transportation committee, and we will be one of four Democrats caucusing with the Republican majority this year; both are positions he said will help projects and priorities for the region.

“When you’re in the majority, you have a much, much better chance of getting legislation through that’s beneficial for our district,” he said Friday, “as well as to blocking legislation that might be harmful to rural Alaska.”

One such item that Foster said he fears could be harmful is a potential raid of the Power Cost Equalization fund, a $957 million fund that helps provide affordable energy in otherwise high-cost parts of the state. Foster said he worries that money could be too tempting for some lawmakers to leave alone.

“If you put up a dam or a pipeline to serve the folks along the rail belt, those are assets you can’t take down. You can’t raid that. Whereas Power Cost Equalization, if you have a billion dollars in a fund, and all of a sudden the state is in deficit spending—like we are now—at some point down the road, does that become vulnerable?”

Foster’s solution is to turn liquid cash into permanent bush infrastructure, including bolstering existing wind farms to initiating natural gas development through small-scale and noncommercial projects to meet local needs. Regional or even community nonprofit drilling programs could work with the state to make it happen, he said.

“The first step in doing that is, you need to be able to drill for that, and there’s been talk … what if the state purchased a portable drill rig? Where you could bring it into these small communities, get the natural gas exploration holes done? If that was successful, that would help the local community, and from there you just move that portable drill rig to the next site.”

Senator Donny Olson has been been staying busy before the session too—flying a Learjet for medevacs in Barrow, what he calls “the pinnacle” of his aviation career—but while Foster is relying on his ties to the House majority, Olson won’t be caucusing with the Senator Majority this year. He’s been replaced in the 15-member group by Bethel Democrat Lyman Hoffman. Losing that connection to the majority isn’t ideal, Olson said, but he will retains his influential place on the Senate’s finance committee, one he’s held for the last 14 years.

“It would have been better to be in the majority,” he said on the phone from Barrow, “but that’s not the end of the world. I’m still there at the table where the money’s being spent.”

Spending will be a major focus of lawmakers this session, with hundreds of millions in deficit spending and more than a billion dollars in deficits projected in 2015, depending on how oil revenues are impacted by oil prices. Olson said painful cuts could be coming.

“When you have a budget deficit that’s been going on, that’s what’s really going to go ahead and affect us, as far as social programs, as far as education, health programs,” he said. “So that’s where you’re going to see the big cuts that are out there.”

Both Foster and Olson said they’re looking to governor-elect Bill Walker and lieutenant governor-elect Byron Mallott to focus on rural needs heading into the next legislative session, and to mitigate any cuts as much as possible.

“The real light at the end of the tunnel may be … Bill Walker and Byron Mallott there on the third floor. They’re much more rural oriented,” Olson said.

“I am very optimistic that we’re going to see a lot more of a rural emphasis,” Foster added.

The 29th Alaska Legislature begins in Juneau Tuesday, Jan. 20.

]]>http://www.knom.org/wp/blog/2014/11/24/foster-olson-outline-priorities-changes-for-upcoming-legislative-session/feed/113155Parnell Signs Bill Opposing Beringia International Parkhttp://www.knom.org/wp/blog/2014/08/14/parnell-signs-bill-opposing-beringia-international-park/
http://www.knom.org/wp/blog/2014/08/14/parnell-signs-bill-opposing-beringia-international-park/#commentsThu, 14 Aug 2014 22:41:37 +0000http://www.knom.org/wp/?p=11223Governor Sean Parnell has signed into law a piece of legislation to stop development of the Beringia International park. Senate Joint Resolution 15 urges the federal government to end efforts “pursuing the creation of an International Park” stretching from Northwest Alaska into Russia. “This is a park that has been going forward quietly over the…]]>

Governor Sean Parnell has signed into law a piece of legislation to stop development of the Beringia International park. Senate Joint Resolution 15 urges the federal government to end efforts “pursuing the creation of an International Park” stretching from Northwest Alaska into Russia.

“This is a park that has been going forward quietly over the years. It sounds like such a laudable goal,” said state Senator Cathy Giessel, who sponsored the resolution, and wants an end to the memorandum of understanding between the U.S. and Russia out of concern over Alaska’s resources. “My concern however is it’s a United Nations designation that could affect the use of our natural resources.”

But in actual terms the resolution’s passage into law does very little to the National Park Service’s work on the Beringia Shared Heritage Program.

“It was stopped because of the situation in the Ukraine with Russia,” explained John Quinley, a spokesman for the National Park Service. “The United States government suspended almost all its bilateral engagements and negotiations with the Russian Federation, including negotiations about the Beringia MOU.”

In February NPS sent a letter to pointing out a range of factual errors and mistaken assumptions in the language of Geisel’s resolution, as well as the reporting of it.

One such claim is that the state of Alaska and U.S. Congress haven’t been able to give input as the federal government pushes the memorandum of understanding through. The Parks Service’s letter, however, points out the state provided a range of comments—some as recent as 2012.

Geisel introduced the legislation in December, before government sanctions against Russia. And her chief worry is a repeat of what’s playing out with the proposed airport road in Cold Bay, with international bodies dictating how Alaskans use their land.

“Would we then be limited in resource development and use of fishing and game resources?” Giessel asked.

The Park Service letter tried to correct conclusions like that one, laying out misunderstandings in the bill’s grasp of the Beringia Shared Hertiage Program’s scope, goals, and basic legality. Section eight of the MOU, for example, spells out, “This legally nonbinding Memorandum is not an international agreement and does not create any rights or obligations under international law.”

In spite of the legislative rhetoric, much of the environmental and cultural research underpinning the goal of an eventual shared park is set to continue.

“Research about the archeology, subsistence uses, and how sea ice and other climate issues are changing and evolving in that area. We think that work is important and should continue, we’re continuing to fund some of it,” Quinley explained of upcoming research work under the Beringia Shared Heritage Program. “We think the idea of learning about the area is important.”

The memorandum of understanding with Russia has no timetable for resumption until Congress lifts sanctions placed on the Russian government.

http://www.knom.org/wp-audio/2014/04/2014-04-24-knom-update-news.mp3
]]>8522Amid Education Spending Clash, Olson Favors Increased Per-Student Fundshttp://www.knom.org/wp/blog/2014/04/23/amid-education-spending-clash-olson-favors-increased-per-student-funds/
Wed, 23 Apr 2014 19:01:05 +0000http://www.knom.org/wp/?p=8493Two days after the scheduled end of session and Alaska lawmakers are still wrangling with how they’ll fund public schools. And until the education question is settled, the state’s capital budget is in legislative limbo. At issue is whether lawmakers will significantly increase the Base Student Allocation—the money each district gets for every student enrolled—or…]]>

Two days after the scheduled end of session and Alaska lawmakers are still wrangling with how they’ll fund public schools. And until the education question is settled, the state’s capital budget is in legislative limbo.

At issue is whether lawmakers will significantly increase the Base Student Allocation—the money each district gets for every student enrolled—or if they’ll opt instead to give schools money through one-time, lump-sum funding bumps.

“This is the thing that drives some of those administrators in some of these schools kind of to the point of dizziness because they don’t know where they’re going to be at,” Senator Donny Olson (D-Golovin) said Tuesday between last-minute sessions in Juneau.

Olson supports a proposal raising the BSA by $185. The House has gotten behind the increase, earmarking more than $250 million to fund it over the next three years. But Olson’s Senate colleagues have not. Instead, the Senate’s plan opts to increases funding outside the BSA formula, with annual payments to schools. The Senate has pledged more than $300 million to do so over the next three years, but keeping that money outside the BSA means it won’t necessarily be built in to future funding.

Olson says the funding bumps may help in the short term, but he says the BSA needs an increase so administrators can count on that funding down the road.

“If it’s inside the base student allocation, then its kind of set in stone,” Olson said. “It’d be very difficult to ever change. And that’s what the issues are with some of the people that are dealing with it now.”

Educators in the region say it’s the kind of certainty they need in the face of rising costs.

“Nothing seems to go down: fuel, and utilities etcetera seem to rise, insurance, you name it,” said Bering Strait School District Superintendent Brett Agenbroad.

Agenbroad said the proposed $185 BSA bump is good news for rural schools, and an important signal from lawmakers who haven’t touched the BSA formula since 2011.

“The $185 bump, in my personal opinion, in Bering Strait School District, is really a good-faith effort of the legislature for funding public education,” he said.

Wednesday, it’ll be up to a group of six legislators—including lawmakers from Bethel and others Olson said know about education in western Alaska—to decide if the BSA will grow, and if so, by how much.

“I think we do have some strong advocates from the Bush side,” Olson said of the committee hoping to reconcile the House and the Senate plans for education funding, “but we are still up against some heavy-duty people from the Anchorage bowl area.”

Legislative leadership has said any compromise should include money both inside and outside the BSA formula. Just when a deal will be brokered is unknown: Mike Hawker, the chair of the six-person education committee, said in Juneau Tuesday he wants to take the time needed to rewrite the bill in a way that makes both chambers happy.

“This is not going to be something that we rush through,” Hawker said. “It will come together really as quickly as we can find consensus in the building over today, tomorrow or throughout the coming week.”

Wednesday is the legislature’s third day beyond their 90-day session deadline. They can meet for an additional 29 days without running afoul of the Alaska Constitution.